Facebook to Pay French Publishers for News

Facebook Agrees to Pay French Publishers for Content Sharing

Facebook has finalized a multiyear agreement with French publishers to compensate them for the re-sharing of their content across its platforms, as was announced today.

The social media company stated that this licensing agreement with the Alliance of national and regional newspapers ensures users can continue freely uploading and sharing news stories. Simultaneously, it safeguards the copyright of its publishing partners.

Financial Details Remain Undisclosed

Facebook has not revealed the specific financial terms of the arrangement with l’Alliance de la presse d’information générale (APIG) in France. However, a recent blog post highlighted the company’s commitment to investing in the news industry.

The post detailed a pledge to invest “at least” $1 billion over the next three years to support media companies. It’s important to note that this is a collective fund, not exclusively allocated to France, leaving the exact distribution unclear.

EU Copyright Law Drives the Agreement

Facebook’s decision in France is a direct response to updated EU law from 2019. This law reformed digital copyright rules, extending neighboring rights to publishers’ content snippets.

This change addressed concerns from the newspaper industry that adtech companies were unfairly benefiting from quality journalism shared on their platforms.

Broader Implications Across the EU

France has been a leader in implementing the EU’s digital copyright reform. However, the amended rules are intended to be applied throughout the entire European Union.

Consequently, adtech giants like Facebook will need to negotiate similar agreements with publishers across multiple countries, justifying the “at least” $1 billion investment.

Google's Prior Deal and Subsequent Fine

Google previously reached a deal with news publishers in France earlier this year. However, this agreement faced scrutiny from the country’s competition watchdog.

The French authority fined Google $592 million for breaching an order related to the negotiation process. Accusations included failing to negotiate in good faith and withholding crucial payment information.

Concerns Over Google's Negotiation Tactics

The competition watchdog also expressed dissatisfaction with Google’s attempt to impose terms on publishers. Google sought to promote its Publisher Curated News product instead of negotiating localized terms, as required by law.

It is speculated that the aggressive enforcement against Google may have influenced Facebook to proactively secure its own agreement with French publishers, though the exact amount paid remains confidential.

Benefits for Smaller Publishers

The French publishing alliance emphasized that the deal would generate “significant financing,” particularly benefiting its smaller member organizations.

Pierre Louette, chairman of the Alliance and CEO of Groupe Les Echos – Le Parisien, stated that this first step demonstrates the importance of publisher solidarity in defending their interests.

Launch of a French News Service

Facebook also announced the launch of a French news service in January. This service will provide users with “a dedicated space to access content from trusted and reputable news sources.”

This initiative is a direct result of legislation requiring the company to compensate for news reuse, showcasing professional journalism on its platform.

Comparison to Australia's News Bargaining Code

This situation contrasts with recent events in Australia, where lawmakers debated similar legislation regarding payments for news content aggregation. Facebook temporarily blocked news sharing in Australia as a protest.

However, Australian lawmakers ultimately passed a news bargaining code in February, applying to both Facebook and Google.

A Shift in the Landscape

Deals were subsequently struck between the platforms and various publishers and broadcasters in Australia. This indicates a growing trend of adtech platforms being required to compensate for the monetization of attention generated by professional news content.

As other countries observe these changes, they are likely to follow suit, potentially altering the financial landscape for news organizations.

Concerns About Platform Influence

While increased funding from tech giants like Google and Facebook may benefit newsrooms, democracy advocates express concern about dominant internet platforms becoming a primary revenue source for the press.

Rebranding Efforts by Tech Giants

Both Google and Facebook are actively leveraging these agreements for public relations, positioning their platforms as sources of “trusted and reliable news.” This is a shift from past criticisms regarding the amplification of clickbait and disinformation.

Facebook’s blog post highlights the benefits of collaboration, and expresses hope for continued constructive conversations with publishers across Europe.

Expansion into Other European Markets

Facebook points to the recent launch of Facebook News in Germany, with partnerships including Axel Springer, Frankfurter Allgemeine Zeitung, Handelsblatt and Tagesspiegel.

The company also notes agreements with publishers in the U.K., including Conde Nast, The Economist, Guardian Media Group and Hearst.